Business Taxation Services Sydney / Adelaide – Tax Structure Advice
Now regardless of whether you are looking to start a business all on your own or as a group of business partners, you will need to decide on what business and tax structure to opt for. Businesses may choose to be established under various business and tax structures such as Company, Sole Trader, Partnerships and Trusts. Our teams of highly experienced and reputable accountants and financial advisors can help you select the best structure for your business and assess the advantages and disadvantages of individual business and tax structures.
Which business and tax structure is right for you?
- Sole trader – suitable for small business and considered the most straight-forward among business and tax structures with the advantage of being relatively easy to run on a daily basis. Businesses organised under such a structure need not pay any registration fee. Another advantage is the relative ease of tax management and bookkeeping so long as the business stays organised. Owners of such a business as considered self-employed hence they are required to file an annual assessment tax return and are personally responsible for any debts accrued.
- Partnerships – owners of businesses organised under a partnership are owned by 2 or more individuals all of whom are considered self-employed and are all required to submit a personal tax assessment every year. To help mitigate any partnership issues, an agreement has to be made between owners detailing the division of the business and how profits or debts would be divided as well as future scenarios for when a certain partner decides to leave or passes on.
- Trusts – refers to business relationships in which a “trustee” which can either be a company or an individual, operates a business to the benefit of set beneficiaries. Trusts are not distinct legal entities and can either be fixed or discretionary in nature. Trustees are usually corporate entities and benefit from an effective tax structure although it is a lot more complicated and costly to setup compared to other business and tax structures.
- Company – as a business structure, companies are considered by law as separate legal entities that are separate from shareholders. Companies can be organised as either public or proprietary limited. Public companies can raise or lend money from the general public by listing its shares for the stock exchange while the latter cannot. Tax rates for companies are lesser than that of individuals although it is more regulated and complex to establish and run compared to other business structures.
What can Fusion Partners do for you?
As one of the top and most experienced accounting firms in the country, Fusion Partners can provide details and expert advice on selecting and setting up the perfect business and tax structure. Our accountants can discuss in detail the difference of such business and tax structures as well as provide all the assistance required for planning and establishing one’s business entity (legal documents, shareholder agreements, partnership agreements, etc). More importantly, we at Fusion Partners can assist clients in effectively managing their financial risks and planning tax expenses for the most favorable outcome.
Would you like to know more about Fusion Partners or interested in Business Taxation Services and Tax Structure Advice that we offer in Sydney and Adelaide? Get in touch with us today by calling 02 9191 9810 – our partners welcome the opportunity to get your business onboard!